In line with expectations, Theresa May’s Brexit bill was voted down in Parliament yesterday. However, the scale of motion against her far surpassed expectations with the PM suffering a massive 432 to 202 vote defeat.

The US Dollar has returned back to the topside on Tuesday amid a downdraft of weakness in the European currencies. The Euro, hit by concerns that it’s largest economy is inching towards a recession, is the big mover on the day.

This week will see some key activity, with central bank testimony from the ECB and the Bank of England, as well as important data releases primarily concerning the British Pound and the crucial Brexit vote, and G20 meetings at the end of the week.

Global stocks rose, and US equity futures extended their longest winning streak since November, rising for a 4th day as the US and China concluded three days of trade talks on what Bloomberg reported was an "optimistic note".

This week is likely to be dominated by what happens to the U.S. stock market, which may recover further if FOMC Minutes are dovish and U.S. inflation data is low. Brexit will also return to view so there could be more activity in the British Pound.

GBP/USD started the New Year with some swings, but ended the week almost unchanged. The key events this coming week are GDP and Manufacturing Production. Here's an outlook for the highlights of this week and updated technical analysis for GBP/USD.